Give Your Finances Some ‘TLC’

It’s set to be a tough year, with households across the UK facing a challenging start to 2011. VAT increasing to 20 per cent in January has driven-up living costs, with the threat of further job losses putting added pressure on people’s budgets.

In these challenging times, money problems can easily spiral out of control, so it’s important to know where you stand and give your bank balance a boost if you can. Here are Debt Advice Foundation’s tips on how to give your finances some ‘TLC’:

  • Trim your spending – Give your savings account a boost by reducing your spending on non-essentials. These extra funds could be a welcome help if you face a loss of income. Our online Budgeting Tool can calculate what you could afford to save each month.
  • Look for ways to save – Make sure you are getting the best deal. Price comparison sites can help you reduce the cost of various essentials, such as energy bills and insurance.
  • Cut-down on credit – Avoid taking unnecessary credit or stretching your finances. Ask yourself whether you could afford to repay it if your circumstances change.

People who find themselves struggling with unmanageable debts can access free advice and support by calling our helpline.